Many airports have a unique identity that reflects the community
they serve and the passengers who use them. Successful airport retailing
depends on creating the right blend of international brands, local
concepts and tailor-made outlets that perfectly match the business
objectives of the airport and the demands of its passengers. And when it
comes to providing food and beverage outlets, striking the right balance
is essential.

Local flavour for Hong Kong

When Hong Kong International Airport wanted to upgrade its food and
beverage provision, it turned to travel catering specialist Select
Service Partner (SSP) to help it come up with a formula that would
appeal to the diverse spread of passengers now visiting its terminals.
"Hong Kong International Airport has grown and evolved since it
opened in 1998", says SSP's Vice President, Lars Crone.
"It was important that its bars and restaurants reflected that
change."

The airport has seen a substantial increase in the number of
passengers from mainland China, and SSP recognised that a traditional
Asian option would be most popular with these travellers. And so the
hunt began for a local supplier who could provide an authentic Asian
flavour and meet the high standards that are expected at an
international airport. Crone states that in the Asian market, the
product is more important than the surroundings in which it is served.
"It was essential that we got that product right, while creating an
ambiance appropriate to one of the world's leading airports."
SSP spent considerable time visiting various local restaurants looking
for the perfect partners. "We needed to be confident that they
could deliver on quality, but also it was important to convince them
that we could be trusted with their brand. It is their reputation on the
line as well as ours."

SSP finally came to an agreement with two Local suppliers to
operate two new outlets in the airport's arrivals hall The first
was the Japanese restaurant Ajisen Ramen. It serves a selection of
noodle dishes, cooked in a savoury stock made to a secret recipe. The
Ajisen Ramen brand is well known in the area, with over 300 outlets in
Japan and 50 in the wider Asian region. To complement this offering, SSP
chose the Chinese-style Hui Lau Shan, which is famous for its fresh
fruit desserts and juices. Its specialities include 'sea coconut
combo', a cocktail of fresh fruits and sea coconut served with
coconut ice, and mango and coconut milk with sago. There then began the
complex process of adapting these brands to the sometimes taxing
environment of an international airport. "Airport catering is very
different to running a high-street restaurant," says Crone.
"Some outlets have to open 24 hours a day, and be able to offer
several `day parts', such as breakfast and snacks as well as lunch
and dinner. As passengers have a limited time to spend in the
restaurant, all meats have to be served quickly. The menu on offer has
to be carefully `engineered' to ensure that it is appropriate for
the airport market." Staffing, security and stock management are
among the other issues that can be problematic for the catering
organisation that does not have experience in the airport sector. The
two new units opened earlier this year, and both are drawing a large
number of customers. Ajisen Ramen is now operating at 80% capacity
throughout the day, and at 100% during lunch and in the evenings, with
customers queuing to get in even as late as 11pm.

While in Norway....

An upgrade of the facilities at Oslo International Airport
presented a totally different challenge. The decision to build a new
commercial area was prompted by dear business objectives--the airport
wanted to improve its image and increase its revenue. It planned to
achieve this by bringing a new range of quality retailing facilities
together in one centralised location. Espen Ettre, the airport's
Terminal and Commercial Director explains: "Our aim was to create a
`stop effect' by providing a raft of excellent shopping and eating
experiences that encourages passengers to linger in the retail
area." Impressed with SSP's catering operations at Copenhagen
Airport, Oslo Airport asked the company to come up with a bespoke solution that reflected Norwegian style and added cachet to the new
area. SSP found its inspiration in the tale of Thor Heyerdahl, the
Norwegian explorer. Nearly sixty years ago, Thor set sail from Peru on a
wooden raft called Kon-Tiki. His aim was to recreate the epic voyage of
an ancient civilization, and after 101 days at sea, he reached the
shores of Polynesia. These adventures provided the theme for the new
collection of catering outlets at the airport. Working in close
co-operation with Norway's Thor Heyerdahl Museum, SSP developed a
bar called The Explorer, and separate cafe and restaurant named after
the Kon-Tiki. These share the same kitchen, making it easier to cater
for fluctuations in demand and to maintain service levels throughout the
day.

With the growing popularity of casual dining, the choice of a
sit-down, waiter-service restaurant is an unusual one. However Oslo
Airport believed that it was an important element if it was to portray
an image of high quality. In addition, Ettre and his team were convinced
that it would lead to an increase in retail sales as passengers would
shop both before and after eating. Ettre has also found other uses for
the new facilities. Some of the smaller international airlines that use
the airport only operate two or three flights per day. For these
companies, it is often not viable to provide lounge facilities, and some
are now using the restaurant as an extension of their First and Business
class services. In addition, some of the other companies based at the
airport now use the facilities as a venue for meetings and as somewhere
to entertain clients.

The new bars and restaurants are proving a great success, and total
food and beverage sales have increased. An improved food range is one
reason for the growth in sales, and a `better food offering' has in
turn boosted beverage sales. As Ettre hoped, the effect on other retail
sales has also been positive. Sales from the Duty Free area have
increased, and Ettre says that although it is early days, the signs are
also good for the rest of the retail operation. "September 11 has
made it difficult to monitor trends in total retail sales. Sales per
passenger provide a more accurate picture, and these have
increased." The improvements have also prompted a welcome upturn in
the airport's IATA ratings. The second quarter results for retail
were improved, and while the food and beverage operations were not open
in time to be assessed in the fast survey, Ettre is confident that the
airport's efforts will be rewarded with strong ratings in the third
quarter. "Food and beverage operations are not as important as
other retail activities as a source of revenue for an airport,"
says Ettre. "However, when it comes to creating the right
impression, their role is crucial." The new facilities at Oslo and
Hong Kong airports are very different. But there is one thing they do
have in common. At Oslo and at Hong Kong they have been carefully
crafted to suit the precise needs of their passengers. This means that
in both cases, revenue has been maximised, and in both cases, passengers
now leave the airport with the best possible impression.

COPYRIGHT 2002 Key Publishing Ltd.
No portion of this article can be reproduced without the express written permission from the copyright holder.